CIBIL scores are important to avail of any loan. It is instrumental in providing you with a lower interest rate and helps you avail lower EMIs with minimum down payments. You can easily take any loan if your credit scores are above 750. Timely loan or credit card repayments achieve good credit scores without missing out. But what can one do in circumstances where your CIBIL scores are low and you want to apply for a bike loan? Read on to find the answer.
Ways To Get a Bike Loan with A Bad Credit Score
Having a bad credit score leads to more down payment and interest, but you can avail of loans following these steps
- Improve Credit History
If you are not looking for urgent loans, you can improve your credit history by paying your current debt on time for a certain period to affect your credit score positively. The length of credit history has a 15% weightage to your credit scores
- Compare Lenders
Research the market and understand who offers loan interest rates for bad credit scores and select the lender who offers the best deal for your loan.
- Negotiate Better Terms
There could be instances that a personal emergency impacted your credit scores or any other reason. Talk to your lender and negotiate better lending terms. You can explain your situation and avail loan at a slightly higher interest rate.
- Guarantor
You can seek the help of a guarantor with a good credit score to vouch for you. The credibility and scores of your guarantor are taken into consideration to sanction the loan in such cases.Once you zero down your lender, calculate your monthly EMI’s to plan your finances using a two-wheeler loan EMI calculator from the lender’s website. It will help you pay the loan on time and improve your credit scores for future loans.
